Olaplex’s third quarter results reflected the early impact of its strategic shift toward coordinated marketing and product innovation. While revenue declined year on year, management credited improvements in sell-through trends to the launch of its new hair masks and a fully integrated 360-degree marketing campaign. CEO Amanda Baldwin noted that these efforts marked “progress in our transformational journey,” and emphasized that the company’s investments in brand health and scientific storytelling are already creating stronger consumer connections. Performance across professional channels was supported by targeted promotions and education, while specialty retail and direct-to-consumer segments continued to experience expected softness.
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Olaplex (OLPX) Q3 CY2025 Highlights:
- Revenue: $114.6 million vs analyst estimates of $109.9 million (3.8% year-on-year decline, 4.2% beat)
- Adjusted EPS: $0.04 vs analyst estimates of $0.02 ($0.01 beat)
- Adjusted EBITDA: $30.79 million vs analyst estimates of $26.85 million (26.9% margin, 14.7% beat)
- The company reconfirmed its revenue guidance for the full year of $420.5 million at the midpoint
- Operating Margin: 3.7%, down from 23.5% in the same quarter last year
- Market Capitalization: $767.6 million
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Olaplex’s Q3 Earnings Call
- Susan Anderson (Canaccord Genuity) asked about the timing of order shifts and the fourth quarter outlook. CFO Catherine Dunleavy explained that some September shipments may have otherwise occurred in October, potentially impacting Q4, but emphasized the focus on annual execution rather than quarterly variance.
- Susan Anderson (Canaccord Genuity) also asked for details on the Purvala Bioscience acquisition. CEO Amanda Baldwin described a dual approach, with some innovations moving quickly into products and others requiring longer-term development, highlighting a balance between immediacy and larger bets.
- Lillian Moffett (Raymond James) questioned holiday marketing strategy and sell-through expectations. Baldwin noted the marketing team is prepared for the season, spotlighting improved content delivery and readiness to react to evolving promotional dynamics.
- Jungwon Kim (TD Cowen) inquired about future investment needs and pricing. Baldwin and Dunleavy stressed ongoing, but more targeted, brand investments and the importance of data-driven adjustments, while noting that pricing will be evaluated in light of market conditions and brand strength.
- Javier Escalante Manzo (Evercore ISI) asked about market share trends and the U.S. versus international performance. Dunleavy confirmed that sell-through is lagging broader hair care category growth, but highlighted stronger trends in international markets and early progress in professional channel initiatives.
Catalysts in Upcoming Quarters
In the quarters ahead, our analysts are tracking (1) the performance of Olaplex’s new products and subsequent launches to gauge sustained consumer demand, (2) the ongoing impact of international market investments and realignment on overall sales momentum, and (3) the ability of professional and direct-to-consumer channels to stabilize or grow despite category-wide promotional pressures. Execution on innovation and brand-building initiatives will remain key markers of progress.
Olaplex currently trades at $1.13, up from $1.07 just before the earnings. Is there an opportunity in the stock?Find out in our full research report (it’s free for active Edge members).
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